We introduce dynamic incentive contracts into a model of unemployment dynamics and present three results. First, wage … cyclicality from incentives does not dampen unemployment dynamics: the response of unemployment to shocks is first … cyclicality from bargaining dampens unemployment dynamics through the standard mechanism. Third, our calibrated model suggests 46 …

the impact of uncertainty shocks on unemployment dynamics. Using a vector autoregression approach, we show that … uncertainty shocks measured by stock market volatility have a significant impact on the U.S. unemployment rate. We then develop a …

This paper examines the impact of unemployment insurance on the propagation of monetary disturbances in a staggered … model that gives prominence to an efficiency-wage theory of unemployment based on imperfectly observable labor effort …

unemployment. This link becomes more evident when wage inflation is disaggregated at sectoral and occupational levels. Using … of 0.8 million online job vacancies. We find a weak trade-off between aggregated national-level wage inflation and … exogenous variations in local market unemployment as the main identification strategy, a negative correlation between vacancy …

unemployment. Using a standard model, we show that three factors can shift the Beveridge curve: reduced-form matching efficiency … shift in vacancies given unemployment. In previous recessions changes in matching efficiency were relatively unimportant … analyses estimating the natural rate of unemployment …

the impact of uncertainty shocks on unemployment dynamics. Using a vector autoregression approach, we show that … uncertainty shocks measured by stock market volatility have a significant impact on the U.S. unemployment rate. We then develop a …

This paper studies the effects of endogenous participation on unemployment fluctuations. It shows that the wage channel … with respect to productivity becomes smaller and hence the model can generate larger unemployment fluctuations. By … the unemployment volatility and 62% of job openings volatility …

years. Theoretically, periods of recessions and high unemployment should directly influence individual’s decisions whether …

In modern economies, sharp increases in unemployment from major adverse shocks result in long periods of abnormal … unemployment and low output. This chapter investigates the processes that account for these persistent slumps. The data are from …